Commodities
Smart Commodity Brokers Pvt. Ltd. is one of the leading clearing
members for National Commodity & Derivative Exchange Ltd. (NCDEX clearing No: 00099
& FMC No: NCDEX/TCM/CORP/0654) and Multi Commodity Exchange of India Ltd. (MCX Clearing
No:31875 & FMC No:MCX/TCM/CORP/1147), offering a range of products and services
in the Commodity Exchange Business.
Trading in commodity futures is a very popular option for investors these days.
It is a fast, furious and highly profitable option. Unfortunately, it is a volatile
market and not even the best traders are equipped to make all the right decisions.
Smart Commodity Brokers Pvt. Ltd., on the other hand, offers the
customer a little more than just brokerage service when it comes to futures trading.
We provide you first hand information to help you make the best trades.
Since price fluctuations are frequent in the futures market, we give you the best
advice so that you can make the best out of these fluctuations.
To give our customers confidence, in their trading decisions, we also offer a cushion
against price risks. With this much and more, Smart is able to boast of over 1000
happy customers.
At Smart we try to partner you in your investments and provide you the best service
at the best rates .
With great advice, prompt and efficient services, and a long record of success,
Smart is definitely a front-runner in the field of servicing commodities traders
UNDERSTANDING THE INDIAN COMMODITIES MARKET
Indian markets have recently thrown open a new avenue for retail investors and traders
to participate: commodity derivatives. For those who want to diversify their portfolios
beyond shares, bonds and real estate, commodities is one of the best options.
Commodities actually offer immense potential to become a separate asset class for
market-savvy investors, arbitrageurs and speculators. Commodities are easy to understand
and are based on the fundamentals of demand and supply. Retail investors should
understand the risks and advantages of trading in commodities futures before taking
a leap. Historically, prices in commodities futures have been less volatile compared
with equity and bonds, thus providing an efficient portfolio diversification option.
Like any other market, the one for commodity futures plays a valuable role in information
pooling and risk sharing. The market mediates between buyers and sellers of commodities
thus making the underlying market more liquid.
Related FAQ
1. What is a commodity?
The dictionary defines commodities as 'Something useful that can be turned to commercial
or other advantage'. Commodities refer to things which in day-to-day life, we simply
take for granted like the wheat in our bread, the cotton in our clothes, the gold
in our ornaments, the petrol in our cars and so on. However, what many don't know,
is that these very ordinary items are also one of the finest investment avenues
available.
The term 'commodity' includes all kinds of goods. FCRA defines 'goods' as 'every
kind of movable property other than actionable claims, money and securities'. Futures'
trading is organized in such goods or commodities as are permitted by the Central
Government. At present, all goods and products of agricultural (including plantation),
mineral and fossil origin is allowed for futures trading under the auspices of the
commodity exchanges recognized under the FCRA. The national commodity exchanges
have been recognized by the Central Government for organizing trading in all permissible
commodities which include precious (gold and silver) and non-ferrous metals; cereals
and pulses; raw jute and jute goods; sugar, gur, potatoes, coffee, rubber and spices,
etc.
2. What are commodity futures?
Commodity Futures are contracts to buy specific quantity of a particular commodity
at a future date. It is similar to the Index futures and Stock futures but the underlying
happens to be commodities instead of Stocks and Indices